The Mega Millions jackpot has reached an estimated $740 million, making it the eighth-largest prize in the lottery’s history. No winning tickets were drawn Friday night, leaving a lucky winner with odds of 1 in 302 million to take home less than one-third of the amount after taxes.
To win the top prize, the ticket holder must match all five white balls and one “megaball.” The winner has two options: pay for the winnings over 30 annual installments averaging $15.5 million or receive a one-time lump sum of $342.9 million. However, federal taxes will reduce the payout to $260.6 million with an additional 37% tax withholding.
Some states also impose their own taxes on lottery winnings, ranging from 2.5% in Arizona to 10.9% in New York. The next Mega Millions drawing is scheduled for Tuesday night, while Powerball holds its next drawing on Saturday for a $45 million jackpot.
Notably, the current jackpot surpasses previous records, including the $1.1 billion prize won in March and the $810 million prize from September. These changes to the lottery aim to provide “bigger jackpots, better odds” and new rewards for players.
Source: https://www.forbes.com/sites/tylerroush/2024/12/14/mega-millions-jackpot-climbs-to-740-million-heres-how-much-the-winner-could-take-home-after-taxes